China settles MOP contracts: Update

Market: Fertilizers
30/04/20

Adds detail throughout

A consortium of Chinese buyers has agreed the first MOP contract since September 2018 with Belarusian potash marketer BPC at a headline price of $220/t cfr, down by $70/t from the previous level.

Volumes were not disclosed, but BPC said volumes would be supplied for the rest of 2020. The company noted the difficult macroeconomic conditions in which negotiations took place, citing sharp devaluations in local currencies, historic collapses in oil prices and other commodities, and Covid-19.

"The price of the new China contract builds a firm foundation for the stabilization, recovery and further incremental development of the global potash market," BPC said today.

Annual contracts usually see 5mn-6mn t agreed between international suppliers and the consortium of Chinese buyers that includes state-owned Sinochem's fertilizer arm, Sinofert, China National Agricultural Means of Production Group and state-owned CNOOC.

By Ewan Thomson

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China settles MOP contracts: Update

Related news posts

US to lift sanctions on Belarus potash

US to lift sanctions on Belarus potash

Quebec government OKs phosphate mining permit extension

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